RE:50% Retracement Theory As Applied To BCEWhere are you getting your information????
It never got down to $50.61 this year.!!!!!!!!!
DividendMan9 wrote: BCE had an upleg from the low of $50.61 at the start of the year to a high of $62.70 in July. A 50% retracement of that up-leg would be a decline to $56.66. The low that was reached in November was $56.80 which is almost exactly a 50% retracement. This is an important area of support. The problem with BCE is continued negative sentiment due to the perception of rising interest rates. We made a high of $58.70 after the Nov low. After pulling back BCE failed to clear that high and it pulled back again after hitting $58.63. If BCE breaks below $56.80 the next level of support would be at the 66% retracement of the up-leg which is $54.72. If you look at a chart the 50% retracement lines up close with the April low of $56.51 and a 66% retracement would line up with March low of $54.70. A decline to $54.70 would bring BCE's yield to almost exactly 5%. BCE used to pay much more than a 5% dividend if you go back two years ago. The share price ran up too much and it became less attractive on a yield basis.